Mobile App Development

How Much Does It Cost to Build a Taxi Booking App In 2022?

How Much Does It Cost to Build a Taxi Booking App In 2022?

Taxis are no longer available in the traditional sense. The market for taxi booking applications is booming with companies like Uber, Ola, and Lyft.

The taxi industry is moving online. With the help of the best taxi booking app development companies like Neetable, it has become easier and faster to create an efficient taxi booking solution.

Most people are often concerned about the cost of a taxi app.

This article aims to address that question and also provide an understanding of features of taxi booking apps, how it works, the app development process, etc.

How Does a Taxi Booking App Work?

In order to develop a successful taxi booking app, you need to understand how the app works from the end user perspective.

  1. The user enters the destination and selects from any of the vehicles available on the app. The rider will able to the price for a ride upfront, which is based on the type of vehicle chosen.
  2. After reviewing the details, the rider confirms the trip.
  3. Locate a nearby driver based on availability. Whenever a driver accepts a request, the duration it will take to reach the pickup point is displayed.
  4. The rider receives an OTP and shares it with the driver to begin the ride.
  5. The rider can opt from the multiple payment options available and make the payment during or after the ride is over.
  6. The rider is requested to give feedback on the service, which is an important feature of the app to make the experience satisfactory and safe for future users.

What Are the Features of a Taxi Booking Application?

Taxi Booking Application

There are three parts to a taxi booking app: an app for passengers, an app for drivers, and an admin panel.

Having a better understanding of these components and their features will help you estimate the cost of apps such as Uber.

- Passenger app

  • User registration and login option for creating and managing user profiles.
  • Notifications for receiving important updates via push notifications, in-app messages, SMS, or email.
  • Selecting a taxi according to vehicle type, fare, etc.
  • Provide users the flexibility to choose either on-demand booking or scheduled booking.
  • Track the location of a taxi in real time using a tracking system.
  • After booking confirmation, drivers can be contacted via in-app calling and chat.
  • Multiple payment options for riders to choose from with the flexibility of changing payment modes and also to either pay during a ride or after.
  • Automatic taxi fare calculation upon booking depending on the passengers’ pickup and drop-off locations.
  • Access travel history via user profile.
  • Option to rate and review the driver after the ride.
  • Customer support in case of any concerns.

- Driver app

  • For drivers to offer their services on the platform, they must register and get admin approval.
  • Driver profile includes details like name, phone number, license details, vehicle number, vehicle type, and current status.
  • Utilize GPS tracking to locate passengers and reach them as quickly asssible.
  • Notifications about new rides, etc.
  • Connect with passengers using in-app calling or chat.
  • Drivers' earnings can be tracked by viewing their daily and weekly trip summaries.
  • Accept or reject a ride request with appropriate confirmation.
  • View booking history.
  • Rate and review rider.

- Admin app

  • Managing drivers, including driver verification, approval, deactivation, and blocking.
  • Managing passengers to improve their experience.
  • Complaint management if passengers or drivers have concerns.
  • Access to all trip details, including those that are booked, active, and completed.
  • The admin can track the locations of vehicles, drivers, and passengers on a live map.
  • Notification option for drivers and passengers.
  • Management of revenue and transactions.
  • Using real-time data tracking, you can track driver activity and revenue.

What Are the Key Components of a Taxi Booking App?

What Are the Key Components of a Taxi Booking App?

Each application's cost depends directly on which components need to be developed. The components of an app determine its complexity.

Geolocation, direction, and routing

A taxi booking app relies exclusively on GPS systems. It would be necessary to use a routing server to enable seamless routing and ride-matching rather than solely rely on GPS.

Cashless payment

With Ola or Uber's software, you can calculate your fare accurately. The fare calculator can compare various variables before giving the customer the travel cost. Several factors influence a journey's cost, including the type of vehicle booked, the base fare, the cost per minute, the covered ride fee, and the cost per mile.

Registration and manage user profile

On-demand taxi apps require user authentication and profiles in order to track their user base. Using social media accounts or email is a quick and easy way for consumers to register.  Driver profiles may include just a photograph, name, and license number, or they may include more information. In addition, rating and assessment frameworks can enhance the client-oriented aspect of the program.

Scheduling ahead of time

Taxis are most often booked in advance for weekend trips, outstation travel, or full days. A Mobile app development company can easily implement this feature on your smartphone.

UI UX design

Here is where most of the budget for software production goes. Uber dominates the ride-sharing market due to its appealing, user-friendly, and secure UI/UX.

UX/UI design should be carried out by experienced mobile app developers or mobile app development companies to ensure that the GUI of the app is simple and easy to understand.

Ride cancellation

This is the feature that you must have if you want to have a comfortable ride. If a user wants to end a trip, they should be able to do so without being penalized or charged. This functionality prevents customers from cancelling or delaying their planned trips to save time and money.

How Much Does It Cost to Build a Taxi App?

How Much Does It Cost to Build a Taxi App?

The cost of taxi booking apps depends on various factors. One of the most important factors that determines the app development cost apart from the features and complexity of the app is the geographical location of the developer. Depending on the region you choose, the development cost will differ.

  • The average cost of development in the United States is $150 - $250 per hour
  • For the eastern European region, the developer charge ranges from $40 to $150 per hour
  • Developers in India earn between $10 and $50 per hour

Developing a taxi booking app with basic features costs approximately $15,000 to $30,000.

Development Phase Cost of development
UX UI design $4000 – $5000
Front end development $13000 – $15000
Back-end development $9000 – $10000
Web development $8000 – $10000
Testing and QA $8000 – $10000


The online taxi market is quite competitive today. To ensure that your app stands out from the competition, follow these steps:

Develop an MVP

MVPs (minimum viable products) are the simplest versions of apps. By creating an MVP, you can make it available for users to download and use. Not only will it help to improve your time to market but also to analyse the user feedback to gain a good understanding of what’s lacking in your app and how you can improve it.


A taxi booking app like Uber illustrates how simplicity is key to success.

Fill a gap

Identify creative ways to build a unique taxi app. In your app, offer something people will love and won't find anywhere else. Fill in any gaps in the market that you feel your services can fill.

Find your niche

Select a niche that is likely to succeed in your target market by considering different niches.

Choose Monetization Scheme Wisely

As a taxi booking app owner, you can monetize your app through commission fees from passengers, service fees from taxi owners, or advertisements from third parties.

Choose Neetable for developing your taxi booking app

We are a leading mobile app development company based in the USA and India. No matter what size your business is, we are the perfect mobile app development partner.


1.How to develop a taxi booking app?

  • Research the market thoroughly.
  • Identify a market need.
  • Fill a gap in existing services with a UVP.
  • Find your niche.
  • Choose a reliable app development partner.
  • Develop an MVP.

2.What is the cost to develop a taxi booking app?

The cost of developing a taxi app like Uber and Lyft depends on factors such as features, complexity of the app, location of developers, etc. Based on these factors, the cost can also differ. Although, for an app with basic features, the cost will range between $30,000 and $40,000.